ABOUT ETSY
A Marketplace For Unique And Handmade Products
Etsy isn’t just another online store - it’s a global marketplace where creativity thrives. From handcrafted jewelry to vintage treasures, it’s the go-to destination for shoppers seeking unique items from independent artists and small businesses. However, despite the incredible finds, many shoppers abandon their carts before completing the purchase.
INTRODUCTION
Why Shoppers Give Up On Etsy: From Excitement To Frustration And Hesitation At Checkout!
Picture this: A shopper finds the perfect handmade item on Etsy, something unique, something special. Excited to add it to their cart, but at checkout they face lots of unanswered questions like “Can I refund?”, “Why is the delivery period so long?!”, “Why did the item’s price get shockingly high at checkout?” and many more. So doubt sets in, “Does this really worth it?” After a moment of hesitation, they check other websites for a similar item at a better price, abandoning the cart. Just like that, another potential sale is lost. This is a common story for many Etsy shoppers.
PROBLEM STATEMENT
How To Help Etsy Resolve Price Transparency Issues, Complex Payment Flows And Unclear Shipping Options To Grow Profit And Enhance User Satisfaction!
Etsy faces a significant challenge with users abandoning their carts during the checkout process. Common issues include unexpected fees, complex payment flows, and a lack of clarity about shipping options. This problem results in lost revenue and reduced seller satisfaction due to incomplete transactions. Enhancing the checkout experience can directly increase conversion rates, improve user satisfaction, and boost overall revenue for both Etsy and its sellers.
GOALS
To Reduce The Cart Abandonment Rate By Identifying And Implementing UX/UI Improvements On Etsy To Ensure Users Complete Their Purchase With No Hurdles And More Satisfaction!
SUCCESS METRICS
Increase Conversion Rate
A series of targeted UX/UI solutions that increase conversion rate, resulting in more revenue for the business and higher user satisfaction.
North Star Metric: An increase in the percentage of users completing a purchase
Supporting metrics:
ASSUMPTIONS
What We Initially Believed Could Be The Cause Of Cart Abandonment!
These 5 assumptions were formed based on our guesses and initial engagement with the platform.
APPROACH
Let’s Uncover Key Pain Points Through In-Depth User Conversations And Secondary Research To Better Understand The Root Causes!
As a starting point, we looked into users’ comments, reviews and industry articles to identify common issues. Then, we engaged directly with users—both casual and frequent shoppers—to understand their experiences, frustrations, and desires. Alongside these interviews, we evaluated our competitors’ strategies and their practices. This blend of firsthand insights and broader context provided a clear view of the challenges and opportunities within the Etsy shopping journey.
DESK RESEARCH
The Average Cart Abandonment Rate Is 70.19%.
In this step, we took a look at the industry study conducted by Baymard to get a bigger picture of the abandoned carts. It showed that major reasons why users do not complete their purchases during checkout are:
The Study Shows That A Better Checkout Design Could Increase Conversion Rate Up To 35%!
If we look at the combined e-commerce sales of $738 billion in the US and EU, the potential for a 35.26% increase in conversion rate translates to $260 billion worth of lost orders which are recoverable solely through a better checkout flow and design.
DESK RESEARCH
What Users Say …
We took a look at the platforms or apps including Reddit, Trustpilot, Google Display, Apple Store, and Etsy’s Community.
After reviewing users’ comments and industry insights, we confirmed our assumptions and added one more: technical and performance issues, such as device and browser incompatibility, item availability confusion, payment processing problems and bugs.
INTERVIEW
"Trust Is Built With Consistency, Transparency, And Reliability - Without It, Every Transaction Feels Like A Risk."
We interviewed 6 people about their shopping experiences and asked about their interactions with Etsy and the checkout process.
INTERVIEW TAKEAWAYS
Trust-Building Can Directly Impact The Conversion Rate, So It's At The Top Of Out List!
After the interviews, we identified and prioritized key insights that affect conversion, cart abandonment and Etsy’s mission of human-centered commerce. Trust-building came first, because it matters most to first-time and hesitant buyers concerned about product authenticity, payment security or seller credibility.
PERSONA
Our Major User Groups Are Budget-Conscious, Frequent and Window Shoppers!
Our user groups were formed based on the insights from previous steps.
COMPETITIVE ANALYSIS
Price Transparency, Seller Profile Visibility, Shipping And Refund Clarity Will Bring More Trust To Users!
We evaluated Etsy’s competitors to see how they resolve cart and checkout issues. We looked at transparency, trust-building strategies, and ease-of-use features to find ways to improve Etsy. This highlighted key strengths in price transparency, trust-building, and ease of checkout. Platforms like Amazon and eBay excel in clear pricing, upfront shipping details, and streamlined checkout flows, while others emphasize seller credibility and membership benefits. These insights guide opportunities for Etsy to improve trust, clarity, and user experience in the purchasing journey.
REDEFINE
To Identify Some Potential Opportunities And To Translate User Needs Into A Design Challenge, We Formed Some "How Might We" Statements.
IDEATION
Our Impactful Solutions Are Designed To Foster Trust, Improve Price Transparency, Enhance Visibility And Accessibility Of Product Information, And Ensure Users Feel Valued!
After conducting an Effort-Impact Matrix analysis, we prioritized solutions with the highest impact and lowest effort.
DESIGN & DEVELOP
It’s Time To Implement Our Ideas And Visualize Them!
We started with the product page by working on information architecture, then added features such as an AI-powered authenticity badge, a review summary maker, a membership for free delivery and returns, and finally a ‘Try Before You Buy’ AR feature.
Enhance Information Architecture On The Product Page
AI-Powered Product Authenticity Bage and Review Summary Maker
Membership/Subscription Plans For Free or Discounted Delivery/Returns
"Try Before You Buy" Offer With AR Feature
Personalized Thank You Card
AI-Powered Time-Sensitive Discount Offer
Post-Checkout Discounts
TEST & ITERATE
We Found That Adding Character And Identity To The AI Summary Maker Boosts Visibility And User Engagement!
We tested to evaluate users' understanding of the UI design and interaction on the product page, subscription page and checkout page.
What I Learned…
Next Steps
